All Clear For Markets?... And What To Expect Out Of Fed Rate Decision Tomorrow 10/27/26

The Boeing Company

Across the shows: 3 speakers in other episodes, 3 bullish and 1 bearish calls, past 30 days

• Karen Finerman · Metropolitan Capital AdvisorsUncertain

  Boeing keeps deferring cash flow; she still believes it will come and is holding the stock.

  Finerman says Boeing keeps deferring the time it earns a proper return, and she compares it to Charlie Brown holding the football. She keeps saying the cash flow will come, but there has been one setback after another. She sees some good in Boeing's defense business and says Boeing is still a duopoly, so she is hanging on to the stock despite this disappointing report.

  “I really do feel like Charlie Brown and Boeing is holding the football, and I keep going. There's gonna be cash flow... We're still in very much of a, you know, a duopoly, and I'm hanging on to it.”at 20:56

• Steve Grasso · Grasso Global Inc.Bearish

  Boeing needs to reach the mid-fifties in monthly 737 output to change the story; it is at 41-42.

  Grasso says Boeing's break-even is about 41 to 42 planes per month, but it needs to reach the mid-fifties to change the narrative. Free cash flow was supposed to be the focus this year, and the story is now about planes. Airbus is at about 65 per month and heading to nearly 80, while Boeing cannot get to 47. He says Boeing has the advantage of being a duopoly, but the production gap is the problem.

  “They need to be at somewhere in the mid fifties to actually change the narrative on the story. ... Airbus is about 65 per month going to almost 80. And Boeing can't figure out how to get to 47.”at 21:46

• Tim Seymour · Seymour Asset ManagementBearish

  Boeing is more than a year behind on free cash flow; he has sold it and expects downgrades.

  Seymour says Boeing is more than a year behind on its free cash flow target. The company was supposed to reach it by late 2027, and he says the Jefferies projection of about $9 billion by 2029 is disappointing. He expects the street to downgrade the stock and says he has sold it in a couple of accounts. He is fed up, having previously expected free cash flow to return in 2025.

  “the street tomorrow will be downgrading this stock... they are more than a year behind on free cash flow... They were supposed to be there by late twenty seven, and and that is disappointing... I have sold it in a couple accounts.”at 22:22

Robinhood Markets

Across the shows: 1 speaker in other episodes, 1 bullish and 0 bearish calls, past 30 days

• Steve Grasso · Grasso Global Inc.Bearish

  Robinhood looks toppy at 41x earnings with falling crypto volume and retail share; a better entry is likely.

  Crypto trading volume fell 38% year over year, and the stock trades at 41 times earnings. Retail investors account for only 9% of volume, down from 15%. Grasso says there are many reasons the stock feels toppy and expects a better entry point later, even though Robinhood has been a genius over the years.

  “There's a lot of reasons to be or to feel as if the stock is toppy. I think you'll probably get a better entry here, but they've been genius over the years.”at 38:32

• Guy Adami · CNBCBullish

  Robinhood is cheaper than it looks; earnings growth and the post-selloff level support the stock.

  Prediction markets are growing fast while crypto declines, and the key question is whether Robinhood can monetize that activity without cannibalizing other business. Adami thinks the stock is cheaper than its headline multiple because earnings growth supports it. He also notes the stock has fallen for about two months, and its current level looks attractive, with the July low nearby.

  “If they can really monetize a lot of the activity without cannibalizing something else, their prediction markets business growing fast, crypto declining... you have the earnings growth to back it up and the levels we're trading down to now.”at 38:49

• Tim Seymour · Seymour Asset ManagementBullish

  Robinhood is not expensive and leads its space; buy the selloff.

  Seymour does not think the stock is particularly expensive and sees Robinhood as the leader in its space. He says to buy the selloff. He notes that third-quarter results were light even though crypto was strong in the quarter, and he sees the event platform as the main debate around the stock.

  “I don't think it's particularly expensive. Think they're the leader on the clubhouse turn and I think you buy it on this selloff.”at 39:15

CoreWeave

Across the shows: 54 speakers in other episodes, 12 bullish and 49 bearish calls, past 30 days

• Guy Adami · CNBCBullish

  CoreWeave is setting up for a tradable bottom into month end after bond yields fell.

  Adami says CoreWeave traded through support levels he expected it to hold, but it is now back at levels that should have been support, on decent volume. He points to relief in the bond market, with 10-year yields down from 5.30%, as a welcome respite. He thinks the stock is setting up for a tradable bottom into month end.

  “Will tell you, you know, core, we've traded through levels that I thought it would find support at, but now it's right back to levels that should have been support... I think you're setting up for a bit of a tradable bottom into month end.”at 3:00

• Karen Finerman · Metropolitan Capital AdvisorsBullish

  CoreWeave's senior unsecured bonds have stopped falling, a positive bellwether; stock could still go higher.

  Finerman treats CoreWeave's senior unsecured bonds as the key bellwether for AI financing stress. The bonds, priced around $20.32, rose about $1.80 that day. Although the gain is not huge, the bonds have stopped declining, which she sees as a good sign. She expects them to keep rising and thinks the stock could also go higher.

  “They're up a buck 80 or so today, which isn't gigantic, but they've stopped going down, which is a good thing. I would suspect they would continue to go higher.”at 6:01

Alphabet

Across the shows: 16 speakers in other episodes, 15 bullish and 1 bearish calls, past 30 days

• Karen Finerman · Metropolitan Capital AdvisorsBullish

  Alphabet's setup into earnings is good after a big selloff; expects strong results and a confirmation of the rally.

  Alphabet has taken a pounding while Microsoft has done better, so the setup into the report is good. Finerman expects Alphabet's earnings to be good and sees the results as a confirmation for the AI trade. She points to Meta's strong advertising quarter as a precedent, arguing Google's core ad business could also be strong, and expects Google Cloud to be good. If Cloud is very strong, she thinks the street will tolerate the heavy spending.

  “And I think the setup going in, Microsoft stock's done better, but Google stock is... Or Alphabet has really taken a pounding. So I think the setup is good, and I think the earnings will be good.”at 5:36

• Guy Adami · CNBCBullish

  Alphabet's setup going into earnings is probably as good as it has been in a while; the stock is cheap.

  Adami says Alphabet has not traded well for a long time and is at July lows. Mike Santoli adds that the stock has become cheaper, and Adami says the setup into earnings is probably as good as it has been in a while. He sees Alphabet as the most interesting of the big names reporting.

  “I mean, the setup's probably as good as it's been in a while for Google.”at 18:28

Meta Platforms

Across the shows: 50 speakers in other episodes, 45 bullish and 25 bearish calls, past 30 days

• Tim Seymour · Seymour Asset ManagementUncertain

  Meta's stock offering being heavily oversubscribed signals investors are not worried about credit, only free cash flow.

  Seymour says Meta's stock offering was oversubscribed several times over, which he calls a major show of support for a big block of stock. He says this separates the companies whose credit quality investors are not concerned about from those where they may be concerned about free cash flow. He thinks the market's worry is more about free cash flow than credit.

  “I don't know, is it five times or 25 times, excuse me, oversubscribed on their their stock offering isn't just a little show of support. It's a major show of support for a big block of stock.”at 4:01

Oracle

Across the shows: 16 speakers in other episodes, 0 bullish and 18 bearish calls, past 30 days

• Steve Grasso · Grasso Global Inc.Bullish

  Oracle's stock is already discounted; its huge backlog and fast cloud growth outweigh credit-rating worries.

  Grasso says Oracle's stock is down over 50%, so the bad news is priced in. Its $664 billion backlog is probably the biggest relative to its size, and cloud revenue is growing over 120%. He says that if you invest in a company like this, worrying about its credit rating is a different story, and Oracle is probably not the one investors need to worry about.

  “The stock's down over 50%. The backlog is... Relative to its size, the backlog's probably the biggest, $664,000,000,000, and the cloud revenue is growing over a 120%. Stock's already been discounted.”at 13:20

Microsoft

Across the shows: 14 speakers in other episodes, 12 bullish and 0 bearish calls, past 30 days

• Mike Khouw · OpenInterest.PROUncertain

  Microsoft's options look cheap given its big post-earnings moves; the 4.4% implied move is light.

  Khouw says the one-day implied move for Microsoft is about 4.4%, which seems light. Microsoft has moved more than 15% after its most recent quarterly release and has seen moves of about 10% or more over the last three quarters. Flows have been bullish, but he thinks the options look quite cheap into the report given how much the stock has moved.

  “That strikes me as pretty light considering Microsoft has actually moved more than 15% after that most recent quarterly earnings release... I think the options look quite cheap going into it given how much that stock has moved around.”at 16:58

Visa

Across the shows: 1 speaker in other episodes, 0 bullish and 1 bearish calls, past 30 days

• Steve Grasso · Grasso Global Inc.Bullish

  Visa still works: consumers are stretched but still spending, just on a different basket of goods.

  Grasso says the consumer looks stretched, but people are still spending on gas and using cards, and card usage growth is still there. He argues the market conflates two stories, a strapped consumer and no spending, when people are simply spending on a different mix of goods. He concludes that investors can still buy Visa. He notes Visa is up about 9% this month and hit a record high last Thursday.

  “I think people are conflating the two stories that the consumer is strapped, therefore they're not spending. And I think you can still buy a stock like Visa because we are spending. It's just a different basket of stuff that we're on.”at 24:49

United Parcel Service

Across the shows: 1 speaker in other episodes, 1 bullish and 0 bearish calls, past 30 days

• Tim Seymour · Seymour Asset ManagementBullish

  UPS's turnaround is real; he is long, the stock is not expensive, and it trades cheaply versus FedEx.

  Seymour says UPS has been beleaguered for a long time but the turnaround is happening. He cites beat-and-raise results and a second-half ramp in 2026 that is alive and well. He says the stock is not expensive and is cheap on a pair trade versus FedEx relative to history. He says he is long UPS and that investors are paid a nice dip to be along for the ride.

  “This is a company that's actually been beleaguered for a long time. I think the turnaround is there. I mean, beat and raise... The second half ramp in in '26 is alive and well, and it's happening. So I am long UPS.”at 26:57

General Motors Company

Across the shows: 2 speakers in other episodes, 2 bullish and 0 bearish calls, past 30 days

• Tim Seymour · Seymour Asset ManagementBullish

  GM should be valued as a well-run ICE and OEM company, not an EV play; it has never generated more free cash flow.

  Seymour says GM, unlike Boeing, has never generated more free cash flow. He says the company just reported numbers that got it knocked down, but EBITDA came in close to $3 billion. He sticks to valuation and wants GM treated as a company that has never been run better, getting credit for its OEM and ICE business rather than as an EV story.

  “unlike Boeing, has never generated more free cash flow. This company, they just had numbers. They got knocked down on the numbers... I want them to be treated by... Like a company that's never been run better.”at 29:07

Anthropic

Across the shows: 64 speakers in other episodes, 51 bullish and 51 bearish calls, past 30 days

• Evan Brown · UBS Asset ManagementBullish

  A successful Anthropic IPO at $1.5-2 trillion would ease fears about funding the AI capex cycle.

  Brown says people are looking at a valuation of $1.5 to $2 trillion for Anthropic's IPO. He argues a successful deal would help settle market concerns that there is not enough money to fund the AI capex cycle. He frames the offering as a way to show that capital is available for AI infrastructure spending.

  “people are looking at 1,500,000,000,000 to 2,000,000,000,000 in terms of numbers... I think it will help settle the market in terms of their concerns that there's not enough money to fund the AI CapEx cycle.”at 34:52

The Home Depot

Across the shows: 2 speakers in other episodes, 2 bullish and 0 bearish calls, past 30 days

• Tim Seymour · Seymour Asset ManagementBullish

  Home Depot offers asymmetric exposure in this rate environment; numbers are fine and expectations have reset.

  Seymour is slowly buying Home Depot because of its pro business and its sensitivity to interest rates. He argues that long rates could go higher, but the stock's risk-reward is asymmetric. He says the numbers are fine, margins are okay, and management has reset expectations. He admits it is not a great environment, but he still considers it a good place to start buying.

  “I have been slowly nibbling at Home Depot. I think that both their pro business and I just think the interest rate sensitivity... I think you have some kind of asymmetric exposure on owning Home Depot in this environment.”at 41:51

Howmet Aerospace

• Steve Grasso · Grasso Global Inc.Bullish

  Howmet fell about 40% on SpaceX and GE competition fears, but has not lost any business; he is buying.

  Howmet sold off about 40% in August because investors feared SpaceX and GE would take its business. Grasso says the company has not lost a dollar of business, so the drop looks like a fear-driven overreaction. He is a buyer at current levels.

  “It got caught up in this trade in August where it sold off dramatically close to about 40% because SpaceX and GE were going to steal their business. They haven't lost a dollar in business.”at 43:29

AI infrastructure & data centers

• Steve Grasso · Grasso Global Inc.

  Hyperscaler capex is far too high; markets want spending restraint and proven return on investment.

  Grasso thinks hyperscaler capital spending is way too much money, and that the market understands this. He says investors want some restraint from the hyperscalers. He argues that AI stocks only get rewarded when they show a return on capital, and that picks-and-shovels stocks have far outperformed neoclouds year to date. He concludes that restraint on spending and actual return on investment must both show up for the story to work.

  “I think it's too much money. If look you at capex, I think it's way too much money. I think the market understands that. ... The only thing that helps an AI stock is saying that they're gonna get a return on on capital, a return on investment.”at 6:34

Earnings & corporate profits

• Guy Adami · CNBC

  Earnings are robust, but investors won't pay up for them; Seagate's post-earnings drop shows it.

  Adami says the market is forward-looking and understands that earnings are robust, but it is asking how sustainable those earnings are and what multiple they deserve. He thinks people are not willing to pay up right now. Seagate is a good example: there is a compelling valuation case, but the stock is trading poorly after earnings, which he says tells you a lot.

  “I think what the market is saying is, yeah, we understand that earnings are robust. How sustainable is this and what type of multiple we're put on the back of it? I don't think people are willing to pay up right now.”at 8:02

US stock market outlook

• Tim Seymour · Seymour Asset Management

  Market technicals are badly damaged; semis remain below key averages and a fresh reset is needed.

  Seymour says the technical damage is real. The Philadelphia Semiconductor index needs another 5% to get above its 20- and 50-day moving averages. It had not traded that close to its 200-day since Liberation Day, and there have been many tests since. He says last week's rate-driven rally was a story of tapping the brakes on cyclicality and capital raising, so the market needs a fresh reset. He is not sure the earnings from the mega-caps will settle the question.

  “it's definitely the technicals, there's there's damage... it still needs another 5% from here to get above its twenty and fifty day moving... It hadn't been trading that close to the 200 since Liberation Day.”at 8:45

Cybersecurity

• Sam Altman · OpenAI

  Companies should first understand and mitigate the security threats that AI creates; this is the top priority.

  Altman says that if he could recommend only one thing to a company right now to do with AI in the very short term, it would be to understand the security threat landscape from AI and mitigate against it. He puts this ahead of becoming more productive with AI coding tools like Codex, saying security is a huge risk companies need to take seriously.

  “If I could recommend, like, only one thing to a company right now to do with AI in the very short term, It... Even more than, like, become super productive with Codex, it would be to really understand the security threat landscape from AI.”at 12:16

Credit markets

• Tim Seymour · Seymour Asset Management

  Credit's rally is mostly lower long rates, not fundamentals; it would not hold if the 10-year rose.

  Seymour says credit has rallied strongly after Oracle CDS peaked a few days earlier, and investment-grade CDS had been at all-time highs about a week ago. He argues much of the move reflects a 35 basis point drop in long rates, which affects the duration of many AI deals. He says that if the 10-year were pushing 5.60%, credit would not feel better, so the rally is rate-driven rather than fundamental.

  “how much of that is the 35 basis point move lower in long rates that are often the duration of a lot of these deals? ... If we were pushing $5.60 on the ten year right now, do you really think that credit would feel better? I don't think so.”at 14:10

US consumer

• Steve Grasso · Grasso Global Inc.

  US consumers are getting stretched, but they are still spending, just on different things.

  Grasso says consumers are getting stretched right now, and that tax refunds and other support have not fully offset the pressure. He argues people are still spending, including on gas and cards, so the stretched-consumer story is being conflated with a no-spending story.

  “When you think about the consumer, they're getting stretched right now. Right? ... I think people are conflating the two stories that the consumer is strapped, therefore they're not spending.”at 24:49

US rates & the Fed

• Evan Brown · UBS Asset Management

  There is a reasonable case for the Fed to hike rates tomorrow given the inflation data.

  Brown says the last inflation print was pretty bad and energy prices have kept running up, so there is a reasonable case for a hike at the next decision. He says the main reason markets do not expect one is that some Fed colleagues said they do not want to hike in October. He adds that he and others are still trying to figure out what the new Fed under Chair Warsh is like.

  “I think there is a reasonable case for them to be hiking rates tomorrow given what we've seen with inflation.”at 31:56

US Treasuries & yields

• Evan Brown · UBS Asset Management

  At a 5% 10-year yield, investors are paid to own Treasuries; returns are roughly flat if yields rise 100bp.

  Brown says investors are getting paid to own Treasuries at about a 5% coupon on the 10-year yield. Over a one-year hold, if yields rise 100 basis points, total return is roughly flat or slightly negative. If yields fall 100 basis points, returns would be in the double digits. The high coupon does a lot of the work and gives an asymmetric payoff.

  “Are you getting paid to actually own Treasuries here? We think so at this point. Now with a 5% coupon on the ten year yield, that's doing a lot of work for you.”at 32:32

AI bubble & tech valuations

• Evan Brown · UBS Asset Management

  Tech has de-rated from over 30x to about 19x forward earnings; tech looks pretty good now.

  Brown says tech has de-rated quite a bit, from a forward multiple of over 30 to about 19. Earnings are improving while prices have repriced, and he thinks sentiment has been washed out given improved valuations. He says tech looks pretty good given that.

  “Tech has de rated. In fact, I think it's gone from a forward multiple of over 30 to 19. We have seen quite a repricing with earnings improving.”at 33:10